An LEI (Legal Entity Identifier) is a 20-character alphanumeric code that is used internationally to identify companies. Each LEI is unique and is allocated to the company once; in other words the same code cannot be allocated to anyone else. The LEI does not replace registration in the company register. Register codes are still used to identify legal persons.

Updated requirements from 1 July 2023

In line with the requirements of the Swedish Financial Supervisory Authority (Finansinspektionen), all legal persons who trade in endowment insurance must be identified with an LEI as of 1 July 2023. This entails that a legal person who has endowment insurance must obtain his or her own LEI in order to be able to trade in financial instruments via his or her endowment insurance account. As previously, no LEI is required when trading in funds.
Previously, legal persons who traded solely in endowment insurance have been exempt from the LEI requirements.

Who does not need an LEI?

• Private clients who do not trade as a sole trader (enskild firma)
• Legal persons (exempt from banks, investment firms and depositary institutions) and sole traders if they only trade in FX-forwards with the purpose of means of payment. If other instruments are to be traded or entered, a LEI is required.

Means of Payment

FX-Forwards which are entered with the purpose to facilitate payment for goods and services linked to commercial activity are not considered as financial instruments and are not covered by the reporting requirements under MiFIR or EMIR and in extension the LEI requirement. In conclusion, it is the purpose with the entered instruments which decides its status as a financial instrument. Example of means of payment: A legal person or Sole trader enters a FX-forward with the purpose to hedge the price of an upcoming payment for delivery of goods in another currency.

Who issues LEIs?

You can apply for an LEI from an authorised LEI issuer. Information on LEI issuers can be found on the GLEIF website. LEI issuers are not restricted to a specific country, and legal persons can obtain an LEI from any LEI issuer. There are currently no LEI issuers in the Baltic states.

How can I apply for an LEI?

First you must choose your LEI issuer, create a user profile on their website and submit the necessary information. Once all the necessary information has been submitted and confirmed, the code will be issued within a period of two days to two weeks. The bank encourages clients to obtain an LEI before the implementation date of EMIR or MiFID2 in order to avoid disruption during the trading or order registration process.

Do I have to pay for an LEI?

Yes, you need to pay a registration fee in order to obtain an LEI and you must also pay an annual renewal fee. Please note that the fees may vary depending on the issuer.

Do I have to pay a renewal fee for my LEI every year?

Yes, in order to keep your LEI active, you must pay an LEI renewal fee to the LEI issuer on an annual basis.